Lawyers continue to hit pay dirt

By Dan Miller
Vice President, West Virginia Mining & Reclamation Association
Charleston, WV

The Surface Mining Control and Reclamation Act, passed by Congress in 1977, carries a "citizen's suit" provision.  This was a conscious effort to allow ordinary citizens access to the complexities of the federal legal system.  That is, if a citizen is moved to take action because of the perceived inaction of a regulatory agency, then he or she is not blocked by a lack of legal resources.

To achieve this end, the law provides that, if the plaintiff prevails, the attorneys' fees thereby incurred will be paid by the defendants, most likely a government agency.  Like many well-intentioned laws, this provision has been perverted by lawyers.

By the standards of a private citizen, the government is a bottomless pit of money.  Coupled with the natural tendency of government agencies toward self-protection and self-preservation, the resulting legal situation is hog heaven for lawyers. 

The regulators are easy pickings for "public interest lawyers" who file suit, then settle out-of-court.  The agencies are motivated to settle as the path of least resistance, the settlement always provides for attorneys' fees and the cost is always borne by the taxpayers.  Meanwhile, the aggrieved citizen gets absolutely nothing and the plaintiff lawyers get rich.  The defense lawyers don't do badly either, drawing their fees from the same fat taxpayer purse.

This practice began in the 1970's, but was perfected a decade ago by then-Washington lawyer Tom Galloway, who filed suit against the Commonwealth of Kentucky and settled out-of-court for a little over $180,000.  He then crossed the Tug River into West Virginia where, armed with virtual photocopies of his Kentucky briefs, he filed suit again and proceeded to take home another six-figure settlement, all without benefit of a single court decision.  Of course, that was 1980's money, peanuts compared to the going rate for citizen suits in the 21st century.

All of which brings us to the federal court case styled "Bragg v. Robertson," which has little to do with either plaintiff Patricia Bragg or Corps of Engineers Chief Dana Robertson.  What it's all about this time is 1) the legalistic effort by environmental groups to cripple the coal mining industry in West Virginia and 2) another big payday for lawyers at taxpayer expense.

The enviros will deny that they want to halt coal mining statewide.  They say it's all about mountaintop mining and obeying the law.  Meanwhile, there are at least two more lawsuits waiting in the wings, one attacking longwall mining and another dealing with water quality issues.  If these are resolved, there will be more to replace them.  We have never been without litigation since the citizens' lawsuit provision was enacted.

Riding the crest of anti-mining publicity generated by the mountaintop mining issue, the Highlands Conservancy of West Virginia rustled up some clients three years ago to sue the State Division of Environmental Protection and the federal Corps of Engineers for lax and/or non-enforcement of the Clean Water Act and SMCRA.

They hired Mountain State Justice, which assigned the case to Joe Lovett, a young but talented lawyer with little experience.  Lovett, in turn, assembled a team of lawyers to help with the case.  These included WVU law professor and long time mining opponent Pat McGinley and Washington DC federal rip off specialist Jim Hecker.  McGinley also brought in his wife, attorney Susan Weise.

As a beginning attorney, Lovett bills at "only" $150 an hour.  With considerably more experience, McGinley goes for $225 per hour.  Weise opts for the more modest $150 rate, but Hecker, as a DC practitioner, commands an impressive $350.  That means every conference among these four would eventually set the taxpayers back a whopping $875 per hour, or $7000 per working day.  And lawyers don't move quickly.  Current bills from the foursome cover a period of nearly two and a half years.

In all, the foursome submitted bills totaling $644,924.68.  And that's just the part for DEP.  And that's with discounts.

Under the Revised Consent Decree, part of the out-of-court settlement, DEP agreed to pay 75% of plaintiff's attorneys' fees and costs through July 26, 1999.  The agency also obligated itself for plaintiffs' fees and costs for post-Decree implementation.

On that basis, Lovett billed for 1,743.5 hours for himself at $150 per hour, as well as 131.5 hours for law student Leah Smith at $50 per hour.  This amounted to $261,525 for Lovett and $6,575 for Smith.

The team of McGinley and Weise submitted a separate bill.  McGinley, who earns $95,975 as a "full time" professor of law at West Virginia University, nevertheless found 593.17 hours to spend on the case.  Billed at $225 per hour and discounted at 75% as per the consent decree, McGinley's bill ran to $100,097.43.  Weise billed for 379.54 hours, or $42,698.25.

Hecker, who operates out of a firm ironically called Trial Lawyers for Public Justice, P.C., submitted 10 pages of justification, including his resume, for his hourly rate of $350. Hecker clearly stated that his role was "primarily to provide strategic advice and research and briefing skills."  For this he billed DEP for 637.44 hours, or $213,542.40.  He also threw in 10.13 hours for assistant Mark Wenzler to the tune of $2,431.20.

There were, of course, more costs than just the four, five or six attorneys.  At one point, plaintiff James Weekley was conflicted with lead attorney Lovett.  No problem.  Mountain State Justice brought in Charleston environmental lawyers John Barrett and David Grubb to alleviate Weekley's concerns.  Cost to the taxpayers, just $6,127.   Mountain State Justice listed total expenses, over and above time expended, at $7,603.89. The McGinley/Weise bill included $2287.56 for Charleston anti-mining activist Bob Gates, for services related to video taping.

Trial Lawyers for Public Justice is where the action is, expense wise. TLPJ submitted expenses totaling $111,314.40.  Most of that went to self-proclaimed expert John Morgan, who lacks official engineering credentials. 

Lawyers sometimes try to justify their rates by claiming that they get nothing if they do not prevail.  Inevitably, the government settles out-of-court and the settlement agreement always provides for plaintiffs' attorney fees.  Expert witnesses like John Morgan, however, don't usually operate like that.  They're accustomed to getting theirs no matter who wins.  That may be why, when Morgan was retained by the plaintiffs' table full of counsel, he offered a 40% discount from his usual $125 per hour fee.  However, when the plaintiffs prevailed, the discount offer seems to have disappeared and the taxpayers are stuck with the full expert Morgan rate.  Morgan has billed for over $87,000.

The majority of people, who lack the opportunity to send out you-owe-me's that cover every minute of their working day, find it difficult to comprehend the justification for the lawyer billing system.  Here few cases in point from the Joe Lovett bill, though he is by no means unique in this regard.

Lovett's bill runs from September 8, 1997 through March 13, 2000 and is 50 pages long.  The time accounted for represents over 10 months of 40-hour workweeks in 30-month period.

Item - He spent 58.5 hours on the intent to sue.  That's over $6500 to notify the agencies that he intended to sue them.

Item - He consistently billed for travel time to meet with his clients.  Interestingly, if they traveled to meet him, that's on them and thus free to taxpayers.

Item - He spent 8.5 hours, $562.50 worth of time, organizing his files.

Item - His brief on the buffer zone issue cost $13,668.75.

Item - His court time was 3 hours and 30 minutes, a bargain at $393.75.

Item - He did $5,325 worth of document drafting in just 314 hours.

Item - Research and review took 426 hours and cost $47,934.37

Item - Eight hours, a full work day billed at $900.00, for various aspects of the conflict of interest concern regarding Lovett's representation of plaintiff James Weekley.

Item - Lawyers do not prepare their bills for free.  Lovett claims 17.5 hours on the task and bills taxpayers for $1968.75.

The bill also includes several items that the layman would find curious (as in, "Why should I pay for this?).

Item - A 30 minute telephone call with Penny Loeb, author of the original mountaintop story in U.S. News & World Report.

Item - A 1 hour meeting with former DEP environmental advocate Wendy Ratcliff.

Item - One hour spent reading press accounts of mountaintop mining, and another hour and a half to organize same for associate counsel Jim Hecker.

Item - A six-hour trip to Logan to see mountaintop mining.  Four more hours the next day for the same thing. Seven hours more on the DEP tour for the same thing again.

Item - A 90 minute meeting with Peter Gray of U.S. News & World Report.

Item - A self-described 30-minute attempt to reach DEP about issuance of a permit.

Item - Five and a half hours to visit a mining site with Judge Charles Haden.

Item - A one hour meeting with anti-mining WV Secretary of State Ken Hechler.

Item - A total of 15 hours spent dealing with the State Legislature, much of which is necessarily spent doing nothing.

Item - Travel time to drive to Virginia, to Morgantown, to Logan County and to Washington DC for meetings.

In addition to travel time, he spent 45 and a half hours meeting with his clients, another 30 hours and 45 minutes with them on the phone.  The bill for that is $8,578.12.  He also spent 32 hours and 10 minutes on the phone and in meetings with various experts for $3,618.75.  He billed $22,050 for taking calls and meetings with co-counsel for 196 hours.

Most painful of all is the 285 hours and 45 minutes spent in calls and meetings with opposing counsel.  That cost $32,146.87 for Lovett's time and a corresponding amount for the hours by defense counsel.

Fees and expenses together, the cost to West Virginia taxpayers for citizens to be represented in Bragg v. Robertson is more the $750,000, so far.  That's not counting the $475,000 or so for Charleston attorneys Ben Bailey and Brian Glasser to represent DEP.

Meanwhile two more anti-mining court cases are on the horizon.  One of them, attacking longwall mining will feature Attorney Joe Lovett for the plaintiffs.  His co-counsel?  Ben Bailey and Brian Glasser. 

Ain't life grand?